Define x as the number of grams of perfume to sell.
Set up the equation: 900 x = 30000 .
Solve for x : x = 900 30000 .
Calculate x and round to two decimal places: 33.33
Explanation
Understanding the Problem Let's analyze the problem. Stinky has a fixed cost of $30,000 per day. He sells perfume at $900 per gram. We need to find out how many grams of perfume Stinky needs to sell to cover his costs and break even.
Setting up the Equation Let x be the number of grams of perfume Stinky needs to sell. The revenue from selling x grams is 900 x . To break even, the revenue must equal the fixed costs. So, we have the equation: 900 x = 30000
Solving for x Now, we need to solve for x . Divide both sides of the equation by 900: x = 900 30000 x = 9 300 x = 3 100 x ≈ 33.33
Final Answer Therefore, Stinky needs to sell approximately 33.33 grams of perfume to break even.
Examples
Imagine you're running a lemonade stand. You have fixed costs like the cost of the stand itself and advertising, which totals $30. If you sell each cup of lemonade for $0.90, you need to figure out how many cups you must sell to cover your initial costs and start making a profit. This problem is similar; by calculating the break-even point, you know exactly how much you need to sell to avoid losing money. Understanding break-even points is crucial in any business to ensure profitability and sustainability.